Varonis Faces Class Action Lawsuit Over Missed Revenue Projections

Reuters01-08
Varonis Faces Class Action Lawsuit Over Missed Revenue Projections

A class action lawsuit has been filed against Varonis Systems Inc., alleging that the company and certain executives violated the Securities Exchange Act of 1934. The suit covers investors who purchased Varonis common stock between February 4, 2025, and October 28, 2025. According to the complaint, Varonis is accused of misleading investors about its projected revenue outlook and growth prospects while downplaying risks related to seasonality and macroeconomic factors. The lawsuit claims that Varonis was not adequately equipped to sustain its recurring revenue growth without a high rate of quarterly conversions. The litigation follows the company’s announcement of disappointing third-quarter results in October 2025, which led to a significant drop in its stock price. Investors have until March 9, 2026, to seek appointment as lead plaintiff in the case.

Disclaimer: This news brief was created by Public Technologies (PUBT) using generative artificial intelligence. While PUBT strives to provide accurate and timely information, this AI-generated content is for informational purposes only and should not be interpreted as financial, investment, or legal advice. Varonis Systems Inc. published the original content used to generate this news brief via GlobeNewswire (Ref. ID: 9622345) on January 08, 2026, and is solely responsible for the information contained therein.

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